IDEAS home Printed from https://ideas.repec.org/a/gam/jlands/v13y2024i4p490-d1372771.html

The Second-Round Effects of the Agriculture Value Chain on Farmers’ Land Transfer-In: Evidence from the 2019 Land Economy Survey Data of Eleven Provinces in China

Author

Listed:
  • Qiang Jin

    (College of Economics and Management, China Agricultural University, No. 17 Tsinghua East Road, Haidian District, Beijing 100083, China)

  • Yanjing Guo

    (Shandong Academy of Social Sciences, No. 56 Shungeng Road, Shizhong District, Jinan 250002, China)

  • Hui Dang

    (College of Economics and Management, China Agricultural University, No. 17 Tsinghua East Road, Haidian District, Beijing 100083, China
    Faculty of Business Foreign Language, Shanxi University of Finance and Economics, No. 140 Wucheng Road, Taiyuan 030006, China)

  • Junfeng Zhu

    (College of Economics and Management, China Agricultural University, No. 17 Tsinghua East Road, Haidian District, Beijing 100083, China)

  • Kahaer Abula

    (Business School, Xinjiang Normal University, No. 100, Guanjing Road, Shuimogou District, Urumqi 830017, China)

Abstract

In the context of the separation of three rights of land and agricultural modernization, this paper is based on the land economic survey data from eleven provinces in China in 2019, covering the eastern, middle, and western regions of China. Based on the value chain theory and its “second-round effect”, which pertains to the multi-round effects of value chain distribution theory, various research methods such as Probit, Tobit, the two-part model, SFA, PSM, and the intermediary effect model are employed to analyze the direct impact of the agriculture value chain (AVC) on farmers’ land factor inputs and the income effects caused by them, which are the “second-round effect” of the AVC on land factor inputs. The research results show the following: Firstly, the AVC has a significant positive impact on the behavior and area of farmers’ land transferring-in, which helps guide farmers towards large-scale land operation. Secondly, the AVC significantly improves farmers’ production efficiency and promotes land transfer through differences in production efficiency, representing the “second-round effect” mechanism of the AVC on land factor inputs. Moreover, the AVC will increase farmers’ net land production income by 48.74%, which is the “second-round effect” of the AVC on farmers’ agricultural income and also the motivation for farmers’ land factor inputs. Finally, the expansion of land area and the improvement of production efficiency jointly increase farmers’ agricultural income, among which production efficiency plays a partial intermediary effect in increasing agricultural income if farmers join the AVC. This paper believes that we should further promote the market-oriented reform of land factors, support the innovation of the benefit linkage mechanism of the AVC, and promote appropriate areas of land operation by farmers, thereby achieving common prosperity and promoting agricultural modernization in China.

Suggested Citation

  • Qiang Jin & Yanjing Guo & Hui Dang & Junfeng Zhu & Kahaer Abula, 2024. "The Second-Round Effects of the Agriculture Value Chain on Farmers’ Land Transfer-In: Evidence from the 2019 Land Economy Survey Data of Eleven Provinces in China," Land, MDPI, vol. 13(4), pages 1-22, April.
    • Handle: RePEc:gam:jlands:v:13:y:2024:i:4:p:490-:d:1372771
    as

    Download full text from publisher

    File URL: https://www.mdpi.com/2073-445X/13/4/490/pdf
    Download Restriction: no
    File URL: https://www.mdpi.com/2073-445X/13/4/490/
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Berry, Roger, 1981. "Redistribution, demand structure and factor requirements: The case of India," World Development, Elsevier, vol. 9(7), pages 621-635, July.
    2. Heath Henderson & Alan G. Isaac, 2017. "Modern Value Chains and the Organization of Agrarian Production," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 99(2), pages 379-400.
    3. Xianqing Ji & Zhonghao Qian & Linxiu Zhang & Tonglong Zhang, 2018. "Rural Labor Migration and Households' Land Rental Behavior: Evidence from China," China & World Economy, Institute of World Economics and Politics, Chinese Academy of Social Sciences, vol. 26(1), pages 66-85, January.
    4. Cragg, John G, 1971. "Some Statistical Models for Limited Dependent Variables with Application to the Demand for Durable Goods," Econometrica, Econometric Society, vol. 39(5), pages 829-844, September.
    5. Michael R. Carter & Yang Yao, 2002. "Local versus Global Separability in Agricultural Household Models: The Factor Price Equalization Effect of Land Transfer Rights," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 84(3), pages 702-715.
    6. Carter, Michael R, 1984. "Identification of the Inverse Relationship between Farm Size and Productivity: An Empirical Analysis of Peasant Agricultural Production," Oxford Economic Papers, Oxford University Press, vol. 36(1), pages 131-145, March.
    7. Henson, Spencer & Masakure, Oliver & Boselie, David, 2005. "Private food safety and quality standards for fresh produce exporters: The case of Hortico Agrisystems, Zimbabwe," Food Policy, Elsevier, vol. 30(4), pages 371-384, August.
    8. Shenggen Fan & Connie Chan‐Kang, 2005. "Is small beautiful? Farm size, productivity, and poverty in Asian agriculture," Agricultural Economics, International Association of Agricultural Economists, vol. 32(s1), pages 135-146, January.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Zhijie Song & Shaopeng Zhang, 2025. "Regional Cooperation and the Urban–Rural Income Inequality: Evidence from China’s East–West Cooperation Program," Sustainability, MDPI, vol. 17(20), pages 1-25, October.
    2. Yuzhe Zhou & Zehui Wang & Wei Wang & Yulin Wang, 2025. "The Impact of Migrant Workers’ Return Behaviors on Land Transfer-in: Evidence from the China Labor Dynamic Survey," Land, MDPI, vol. 14(4), pages 1-29, April.
    3. Zhijie Cao & Lingzhi Yan & Kexin Zhou & Ming Lei, 2024. "Willingness for Land Transfer and Coupling Coordination Analysis in Poverty Alleviation Resettlement Areas: A Sustainable Development Perspective," Land, MDPI, vol. 13(12), pages 1-21, November.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Chen, Huang, "undated". "Agricultural Risk, Insurance, and the Land-productivity Inverse Relationship," 2017 Annual Meeting, July 30-August 1, Chicago, Illinois 258212, Agricultural and Applied Economics Association.
    2. Chen, H., 2018. "Can Crop Insurance Market Benefit Land Rental Market by Mitigating the Inverse-Relationship Concern," 2018 Conference, July 28-August 2, 2018, Vancouver, British Columbia 277003, International Association of Agricultural Economists.
    3. Deng, Xin & Xu, Dingde & Zeng, Miao & Qi, Yanbin, 2019. "Does early-life famine experience impact rural land transfer? Evidence from China," Land Use Policy, Elsevier, vol. 81(C), pages 58-67.
    4. Jia, Lili, 2012. "Land fragmentation and off-farm labor supply in China," Studies on the Agricultural and Food Sector in Transition Economies, Leibniz Institute of Agricultural Development in Transition Economies (IAMO), volume 66, number 66.
    5. Hurley, Mason, 2016. "Re-examining Changes in Farm Size Distributions Worldwide Using a Modified Generalized Method of Moments Approach," Master's Theses and Plan B Papers 249287, University of Minnesota, Department of Applied Economics.
    6. Zhang, Jian & Mishra, Ashok K. & Ma, Xianlei, 2023. "Mechanism of Chinese farmers’ land rental participation: The role of invisible markets and public intervention," Food Policy, Elsevier, vol. 117(C).
    7. Kai Huang & Xin Deng & Yi Liu & Zhuolin Yong & Dingde Xu, 2020. "Does off-Farm Migration of Female Laborers Inhibit Land Transfer? Evidence from Sichuan Province, China," Land, MDPI, vol. 9(1), pages 1-14, January.
    8. Larson,Donald F. & Muraoka,Rie & Otsuka,Keijiro, 2016. "On the central role of small farms in African rural development strategies," Policy Research Working Paper Series 7710, The World Bank.
    9. Hohfeld, Lena & Waibel, Hermann, 2013. "Investments of Rural Households in Northeast Thailand and the Future of Small Scale Farming," Quarterly Journal of International Agriculture, Humboldt-Universitaat zu Berlin, vol. 52(3), pages 1-20, August.
    10. Zhang, Jian & Mishra, Ashok K. & Zhu, Peixin, 2023. "Land Markets and Labor Productivity: Empirical Evidence from China," IZA Discussion Papers 16575, IZA Network @ LISER.
    11. Thapa, Sridhar, 2007. "The relationship between farm size and productivity: empirical evidence from the Nepalese mid-hills," MPRA Paper 7638, University Library of Munich, Germany, revised Apr 2007.
    12. Flower, Benjamin C.R., 2018. "Does informal tenure result in land inequality? A critique of tenure formalisation reforms in Cambodia," Land Use Policy, Elsevier, vol. 77(C), pages 240-248.
    13. Klaus Deininger & Songqing Jin, 2008. "Land Sales and Rental Markets in Transition: Evidence from Rural Vietnam," Oxford Bulletin of Economics and Statistics, Department of Economics, University of Oxford, vol. 70(1), pages 67-101, February.
    14. Bhatt, Mohammad Sultan & Bhat, Showkat Ahmad, 2014. "Technical Efficiency and Farm Size Productivity ― Micro Level Evidence from Jammu & Kashmir," International Journal of Food and Agricultural Economics (IJFAEC), Alanya Alaaddin Keykubat University, Department of Economics and Finance, vol. 2(4), pages 1-22, October.
    15. Huy, Hoang Trieu & Nguyen, Trung Thanh, 2019. "Cropland rental market and farm technical efficiency in rural Vietnam," Land Use Policy, Elsevier, vol. 81(C), pages 408-423.
    16. Gong, Tengda, 2022. "Economic Impacts of Land Security Improvements: Investment Incentives versus Rental Incentives," 2022 Annual Meeting, July 31-August 2, Anaheim, California 322094, Agricultural and Applied Economics Association.
    17. Ufer, Danielle & Ortega, David L., 2022. "Right on the Money? U.S. Farmers Have a Varied Understanding of Consumer Preferences and Attitudes over Animal Welfare and Biotechnology," 2022 Annual Meeting, July 31-August 2, Anaheim, California 322269, Agricultural and Applied Economics Association.
    18. Dingde Xu & Zhuolin Yong & Xin Deng & Linmei Zhuang & Chen Qing, 2020. "Rural-Urban Migration and its Effect on Land Transfer in Rural China," Land, MDPI, vol. 9(3), pages 1-15, March.
    19. Uçak Harun & Çelik Saliha & Kurt Hakan, 2023. "Land Resources and Agricultural Exports Nexus," Folia Oeconomica Stetinensia, Sciendo, vol. 23(1), pages 284-300, June.
    20. Chaozhu Li & Xiaoliang Li & Jiaxu Wang & Tianchu Feng, 2023. "Impacts of Aging Agricultural Labor Force on Land Transfer: An Empirical Analysis Based on the China Family Panel Studies," Land, MDPI, vol. 12(2), pages 1-15, January.

    More about this item

    Keywords

    ;
    ;
    ;
    ;
    ;
    ;

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:gam:jlands:v:13:y:2024:i:4:p:490-:d:1372771. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: MDPI Indexing Manager The email address of this maintainer does not seem to be valid anymore. Please ask MDPI Indexing Manager to update the entry or send us the correct address (email available below). General contact details of provider: https://www.mdpi.com .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.